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River & Mercantile UK Dynamic Equity Class B - Accumulation (GBP)

Sell:473.61p Buy:473.61p Change: 2.66p (0.57%)
Prices as at 24 May 2019
Change: 2.66p (0.57%)
You can buy or sell holdings in this fund through an ISA, Lifetime ISA, SIPP or Fund & Share Account
Prices as at 24 May 2019
Change: 2.66p (0.57%)
Prices as at 24 May 2019
You can buy or sell holdings in this fund through an ISA, Lifetime ISA, SIPP or Fund & Share Account
The selling price currently displayed is higher than the buying price. This can occur temporarily for a variety of reasons; shortly before the market opens, after the market closes or because of extraordinary price volatility during the trading day.

Our view on this Fund

This fund does not feature on our Wealth 50 list of what we believe are the best funds in each sector. If a fund is not within our Wealth 50 this is not necessarily a recommendation to sell. However, if you are thinking of adding to your investments we believe Wealth 50 funds are superior alternatives. View funds on the Wealth 50 »

We removed this fund from the Wealth 150+ in February 2018 following the departure of Philip Rodrigs as manager.

We originally backed the fund because of the experience and performance track record of Philip Rodrigs. We only highlight fund managers with long, successful track records and exceptional performance potential to our clients. Therefore, in light of Philip Rodrigs' departure and the fact William Lough, his successor, had no demonstrable track record, we did not feel the fund deserved a place on the Wealth 150+.

Our view on the sector

The UK stock market is home to lots of world-class companies. From international giants to a diverse array of smaller businesses. This provides a rich hunting ground for fund managers in this sector. They all try to grow investors' money over the long term, but each goes about it in a different way. Some focus on larger companies in the FTSE 100 index, others invest in medium-sized or smaller companies, and some have the flexibility to invest in any company, regardless of size. Some aim to match or deliver a return similar to the broader UK stock market. Others have the freedom to try and make as much money as possible for investors and take more risks. That could mean investing in only a small number of companies, for instance. A fund that invests in UK shares is normally the first port of call for UK-based investors. But with such a variety on offer, investors should make sure a fund is right for their circumstances before investing.

Performance Analysis

William Lough only took over management of this fund in February 2018 and prior to this he had no track record running a fund in his own right. We would like to see him build a longer track record and demonstrate an ability to deliver excellent performance through strong stock selection before becoming positive on the fund.

Investment Philosophy

The largest 20 companies in the UK dominate the stock market index, but their future growth prospects are limited. There are better opportunities to be found outside the very largest companies, including among more dynamic medium-sized and higher-risk smaller companies.

Process and Portfolio Construction

William Lough has the flexibility to invest across the entire UK stock market in an effort to pick the best opportunities wherever they lie. He starts by making an assessment of a company's potential. Is it growing strongly, in decline, or recovering from a hard time, for example.

In this fund he is looking for those not just with the potential to grow profits strongly, but for this to be sustainable over the medium term at least. If the underlying business is not of sufficient quality to achieve sustainable growth it is unlikely to be a good long-term investment.

Next, the manager looks for the opportunity to buy these high-quality, growing companies when there is a gap between the share price and the true worth of the company. As you might imagine it's not often you can buy something that has excellent potential for a discounted price, so the fund is relatively concentrated with around 50 investments. This allows each to contribute significantly to performance, but it is higher risk.

Finally, he will aim to take advantage of research, news flow and other shorter-term trends that might change investors' perceptions of a company to buy or sell at an optimum time.

question mark Manager Track Record Based on HL Quantitative Research

  • River and Mercantile UK Dynamic...
  • FTSE All-Share TR

Fund Track Record

24/05/14 to 24/05/15 24/05/15 to 24/05/16 24/05/16 to 24/05/17 24/05/17 to 24/05/18 24/05/18 to 24/05/19
Annual return 12.34% -4.73% 28.94% 6.59% -8.81%

Please remember past performance is not a guide to future returns. Where no data is shown, figures are not available. This information is provided to help you choose your own investments, remember they can fall as well as rise in value so you may not get back the original amount invested.

Information about the fund

Fund manager biography

manager photo
Manager Name: William Lough
Manager start date: 3 April 2018
Manager located in: London

William joined RAMAM as a UK Equity Analyst in December 2009 after graduating from Oxford University with first class honours in History. He has been a key figure in supporting the development of the equity team's PVT [Potential, Value, Timing] philosophy, which is designed to systematically unearth investment anomalies and ensure they are sensibly applied to client portfolios in a way that maximises returns and minimises risk. In 2013 William was promoted to director of research. William is the fund manager of the UK Dynamic Fund and also the alternate manager on Hugh Sergeant's Recovery strategies.

Data policy - All information should be used for indicative purposes only. You should independently check data before making any investment decision. HL cannot guarantee that the data is accurate or complete, and accepts no responsibility for how it may be used. Benchmark data provided subject to this disclaimer.
You can buy or sell holdings in this fund through an ISA, Lifetime ISA, SIPP or Fund & Share Account